Walt Disney board extends Iger's contract as Chairman and CEO through June 2018

[Captain Neo]

Just watched the premier of stars ras rebels it was a huge hit. Saw the preview for big hero 6 at disneyland and it looks to be an another huge hit. What's the problem here? Disney is finally at a point where the majority of their output is top notch stuff and we don't need Staggs or rasulo or eisner or whoever to ruin this good thing we got going

 

[WDW1974]

Don't know if this dandy piece of PR by Brooks 'I got ya covered' Barnes in the NYT has been placed out here yet:

http://www.nytimes.com/2014/10/03/b...0141003&nl=afternoonupdate&nlid=58490726&_r=0

I won't even bother to point out some of the absurd statements BB makes in the story.

Of course, I think ex-Times staffer Sharon Waxman must be on meth these days to pen a story claiming The Weatherman has his eyes set on the White House.

 

[WDW1974]

Iger is investing more meaningfully into WDW's future than Michael "overbuilder" Eisner did in his last 10 years at the top.

Neo you need to let the bulge for MDE go. He's gone now ... he can't hurt you anymore.

But the reality of Michael's last 10 years at TWDC as far as WDW gave us:

DAK;
BB;
BW;
Coronado Springs;
DAK Lodge;
VWL;
ASMo;
Pop Century;
Westside expansion of DD (everything from Cirque to DisneyQuest to dining);
Test Track;
Soarin;
Mission Space;
Mickey's PhilharMagic;
EE (he approved it and it opened just after he left);
Millennium Celebration;
California Grill;

That's just a list of MAJOR things off the top of my head as Disney was constantly doing things to freshen the product under MDE's leadership.

That's meaningful and only a fool would suggest otherwise. You really want to compare Bob Iger's tenure to Michael Eisner's in terms of WDW? That's a battle you won't win.

Hell, I'm trying to recall how many new parades and/or stage shows premiered at TPFKaTD-MGMS just between 1995 and the HAT going up in 2001. Was it 6 or 7 or ???

WDW was getting stale in parts during MDE's last few years, but much of that could be attributed to 9/11 and the travel slowdown ... look at what he pushed through in his last few years (admittedly, his worst).

Iger is a great Wall Street CEO, but he has no passion for the business and, when it comes to WDW, no vision for what it will look like in five years or 10 or 20. He just doesn't really care.

 

[WDW1974]

http://m.wsj.com/articles/companies-stock-buybacks-help-buoy-the-market-1410823441?mobile=y

@WDW1974 @ParentsOf4

Look who is on the chart. For anyone advocating stock buybacks, what that should say to you is that the company cannot invest in themselves and increase shareholder returns that way. I know 74 and ParentsOf4 will agree with this but Disney certainly could create value by investing in the company. The fact that they chose to pursue a buyback program says this: Disney management isn't focused on long term organic growth.

Anyone want to guess how much Google has bought back? Oh, yes that's correct nothing. http://www.vuru.co/analysis/GOOG/dividendsBuybacks

You're right, I do agree. Not much more that I can say.

I'll just repeat that WDW and TWDC have never been more profitable than they are right now, yet WDW is run in a manner consistent with companies that give off that ''going out of business'' vibe that I got when I stepped into a Dillard's department store for the first time in years a few weeks ago.

I don't know where all the money is going. But I damn well know where all the money isn't going.

 

[misterID]

Neo you need to let the bulge for MDE go. He's gone now ... he can't hurt you anymore.

But the reality of Michael's last 10 years at TWDC as far as WDW gave us:

DAK;
BB;
BW;
Coronado Springs;
DAK Lodge;
VWL;
ASMo;
Pop Century;
Westside expansion of DD (everything from Cirque to DisneyQuest to dining);
Test Track;
Soarin;
Mission Space;
Mickey's PhilharMagic;
EE (he approved it and it opened just after he left);
Millennium Celebration;
California Grill;

That's just a list of MAJOR things off the top of my head as Disney was constantly doing things to freshen the product under MDE's leadership.

That's meaningful and only a fool would suggest otherwise. You really want to compare Bob Iger's tenure to Michael Eisner's in terms of WDW? That's a battle you won't win.

Hell, I'm trying to recall how many new parades and/or stage shows premiered at TPFKaTD-MGMS just between 1995 and the HAT going up in 2001. Was it 6 or 7 or ???

WDW was getting stale in parts during MDE's last few years, but much of that could be attributed to 9/11 and the travel slowdown ... look at what he pushed through in his last few years (admittedly, his worst).

Iger is a great Wall Street CEO, but he has no passion for the business and, when it comes to WDW, no vision for what it will look like in five years or 10 or 20. He just doesn't really care.

I am no fan of Eisner's (personal reasons, and I give a lot more credit to Wells for the Disney resurgance) but no one could ever argue that he didn't fully understand TWDC and that includes the importance of the theme parks and especially WDW. As far as the parks go, Eisner was just as an important figure next to Walt compared to Iger.

And I believe Michael even tried to tell people what would happen if they gave Iger the keys, that he didn't care or have respect for the parks.

 

[WDW1974]

I wouldn't be shocked either, but how long Georgie will stay with Disney after MacPhee is gone?

I am asking this since George Kalogridis was brought over to WDW to be one of the "NGE Fall guys".

I would be surprised if George remains with Disney beyond his current contract as he'll be 62 (yes, he looks a bit younger ... living in Paris and Newport Beach will do that!) It's possible he has one more three-year contract in him, but I really only see that if Meg retires and he moves into her position.

And NGE is going to be spun into the greatest thing in theme parks in the 21st century ... @ParentsOf4 has already eloquently explained how Disney not pumping $$$ into getting it started will already make the bottom line look so much better in the next earnings call. That should continue into the future.

MacPhee's time at Disney is about up because he has been working on this project since at least 2009 and it isn.t anything close to what was promised to the BoD. They'll likely just let him leave if his contract is up soon (I don't know when his is up) and, if it isn't, then he may well 'decide' to retire soon.

 

[Captain Neo]

Neo you need to let the bulge for MDE go. He's gone now ... he can't hurt you anymore.

But the reality of Michael's last 10 years at TWDC as far as WDW gave us:

DAK;
BB;
BW;
Coronado Springs;
DAK Lodge;
VWL;
ASMo;
Pop Century;
Westside expansion of DD (everything from Cirque to DisneyQuest to dining);
Test Track;
Soarin;
Mission Space;
Mickey's PhilharMagic;
EE (he approved it and it opened just after he left);
Millennium Celebration;
California Grill;

That's just a list of MAJOR things off the top of my head as Disney was constantly doing things to freshen the product under MDE's leadership.

That's meaningful and only a fool would suggest otherwise. You really want to compare Bob Iger's tenure to Michael Eisner's in terms of WDW? That's a battle you won't win.

Hell, I'm trying to recall how many new parades and/or stage shows premiered at TPFKaTD-MGMS just between 1995 and the HAT going up in 2001. Was it 6 or 7 or ???

WDW was getting stale in parts during MDE's last few years, but much of that could be attributed to 9/11 and the travel slowdown ... look at what he pushed through in his last few years (admittedly, his worst). Also, you keep stressing that Iger hasn't opened any parks and frankly id rather he open NO parks than the underfunded and incomplete parks that Eisner was known for building (MGM, DAK, HKDL, DSP, DCA) Those are all half-day parks at best and outside of maybe DAK were built on the cheap. Not an accomplishment.

Iger is a great Wall Street CEO, but he has no passion for the business and, when it comes to WDW, no vision for what it will look like in five years or 10 or 20. He just doesn't really care.

I know what WDW got in his last ten years but look at the quality. EE, Test Track, and Mission Aborted are all poor underfunded attractions. Yea sure EE looks beautiful on the outside but where are the show scenes??? It's literally just track running through an empty building in darkness compare that to something like Radiator Springs which is beautiful on the outside, thrilling, AND has actual show scenes in the inside.

I was there for the Millennium Celebration and other than the nice firework show I felt it was handled poorly. I should have known that day when I rode the "new" Journey into imagination what a horrifyingly disappointing decade I was in for.

And really...All star resort? pop century? Mickey phillar? I think WDW could have done without that garbage. All-Star and pop century and all those low cost motels Disney built up in the 00s is what helped cause Disney to become a less sophisticated product and attracted much of the honey boo boo crowd. Yet now all of a sudden you praise those projects as a big thing.

 

[WDW1974]

I am no fan of Eisner's (personal reasons, and I give a lot more credit to Wells for the Disney resurgance) but no one could ever argue that he didn't fully understand TWDC and that includes the importance of the theme parks and especially WDW. As far as the parks go, Eisner was just as an important figure next to Walt compared to Iger.

And I believe Michael even tried to tell people what would happen if they gave Iger the keys, that he didn't care or have respect for the parks.

I am a fan, an unabashed fan, of Michael's. And I have found him to be charming and down to earth and REAL on a one to one basis, something a robot like Iger just doesn't convey. I met Frank, but can't claim to really know what he was like, but he was also personable and REAL. Iger is anything but ... he is a CEO wrapped in attitude, pompousness, lawyers and PR handlers. I doubt he'd bleed if you accidentally stuck a pen in his arm.

No one has meant more to the modern WDW that so many love, then Michael.

For Bob, it's just been about taking as much out of the place while investing as little as possible into it. I don't really want to hear about what he may do after nine years on the job. I'll judge him on just what he has and has not done.

And this whole succession deal is truly beyond laughable, Disney (and Wall Street follows along) acts as though there aren't literally dozens of capable leaders who could run the company tomorrow ...

 

[WDW1974]

I'd say freshining up Fantasyland, expanding MGM and Animal Kingdom into real full day parks, and rebuilding downtown dump disney into something new and fresh is meaningful. It's not Iger's fault that fools keep buying into DVC it would be fiscally irresponsible for him to stop a program that is raking in huge money and probably get him thrown out. My Magic + has its pros and cons and I think a lot of the complaints are just people resistant to change and don't feel comfortable with Disney tracking more information. Also didn't that program just roll out in the past year? I think it's going to be a few years before we realize the full vision especially now that we know it will tie into having all your travel documents on your smart phone and/or apple watch.

You need to do a helluva lot more to the alleged No. 1 theme park on the planet than 'freshen up Fantasyland' ... and all he has done at Studios and DAK is TAKE THINGS AWAY. When something of substance actually opens in one of those parks, please have Andy Castro Tweet it so I'll actually know it happened!

You may not like DD, but all Michael did was expand the place and create unique venues and attractions (yes, like Pleasure Island). Iger is remaking a mall. It happens all the time across the world. Nothing special here.

DVC? Look at its footprint in 2005 versus what it is now. Look at how Disney is converting deluxe resorts over faster than a typical fanboi drops his pants when an Imagineer walks into the room. That is a conscious business decision, one that Bob and Jay and Tom have made. One that has great consequence to the future of WDW.

Not going to argue MM+ with you at all. I truly don't understand the type of psyche a fan must have to defend this when so much of the resort is stale, when so much infrastructure is crumbling and when the competition has overtaken Disney in its hometown.

 

[misterID]

I am a fan, an unabashed fan, of Michael's. And I have found him to be charming and down to earth and REAL on a one to one basis, something a robot like Iger just doesn't convey. I met Frank, but can't claim to really know what he was like, but he was also personable and REAL. Iger is anything but ... he is a CEO wrapped in attitude, pompousness, lawyers and PR handlers. I doubt he'd bleed if you accidentally stuck a pen in his arm.

No one has meant more to the modern WDW that so many love, then Michael.

For Bob, it's just been about taking as much out of the place while investing as little as possible into it. I don't really want to hear about what he may do after nine years on the job. I'll judge him on just what he has and has not done.

And this whole succession deal is truly beyond laughable, Disney (and Wall Street follows along) acts as though there aren't literally dozens of capable leaders who could run the company tomorrow ...

Eisner once sued my father, then wrote him a HUGE check to settle, tried to blackball him, and offered him a BIG deal to handle marketing for WDW. In that order.

He was a jerk with an ego that could match Trump... You know, if Trump had class and actual real intelligence... but face to face, was a very charming man... Unless he was in a mood. I would still take him over Iger any day of the week. But he needs a Wells. Michael was way more petty and childish than what I hear about Iger, and Michael could make horrible decisions, going back to his Studio days, based on that pettiness. And I know for a fact he was involved in very VERY shady things to get information and screw people over.

But when it comes to WDW, he knew that it was the crowning jewel of the Parks.

 

[misterID]

I know what WDW got in his last ten years but look at the quality. EE, Test Track, and Mission Aborted are all poor underfunded attractions. Yea sure EE looks beautiful on the outside but where are the show scenes??? It's literally just track running through an empty building in darkness compare that to something like Radiator Springs which is beautiful on the outside, thrilling, AND has actual show scenes in the inside.

I was there for the Millennium Celebration and other than the nice firework show I felt it was handled poorly. I should have known that day when I rode the "new" Journey into imagination what a horrifyingly disappointing decade I was in for.

And really...All star resort? pop century? Mickey phillar? I think WDW could have done without that garbage. All-Star and pop century and all those low cost motels Disney built up in the 00s is what helped cause Disney to become a less sophisticated product and attracted much of the honey boo boo crowd. Yet now all of a sudden you praise those projects as a big thing.

Those "garbage" hotels were very smart and have a way better occupancy than the GF. They're money makers and are great deals for the average family. Trying to label these people as lower class, or "honey boo boo" crowd is really tacky. These are the resorts our middle class families can afford at Disney. And it had nothing to do with losing the "sophistication." That's laughable. Only EPCOT had that air, and that was lost when it became clear how much WDI hated the place, because they didn't "get it." That it was ancient from old Imagineers who were dinosaurs. You pointed to it yourself, Imagination. That came from old Fitzy. M:S is a good idea in concept, but in reality... not so much.

RSR is what it is because of Lassetter. Truth is, I don't see anything significant in Iger's legacy at WDW compared to Eisner.

 

[WDW1974]

I know what WDW got in his last ten years but look at the quality. EE, Test Track, and Mission Aborted are all poor underfunded attractions. Yea sure EE looks beautiful on the outside but where are the show scenes??? It's literally just track running through an empty building in darkness compare that to something like Radiator Springs which is beautiful on the outside, thrilling, AND has actual show scenes in the inside.

I am looking at the quality. I always do. Most of that list is top rate. And even misfires (like Mission Space) had plenty of funding and aimed at being special. Everest may be in awful show shape now, but when it opened it was the closest thing to a great Disney E-Ticket in the 21st century. ... I've never been a fan of TT, but it is hugely popular with guests as anyone can tell you. I don't agree with their tastes, but it's not crap by any means.

But just look at those three (or throw Soarin in for fun). Those FOUR major attractions opened at WDW during a seven year period. How can you possibly not realize that Michael invested in the WDW parks when Bob hasn't.

I was there for the Millennium Celebration and other than the nice firework show I felt it was handled poorly. I should have known that day when I rode the "new" Journey into imagination what a horrifyingly disappointing decade I was in for.

That celebration invigorated the park greatly (and gave Georgie K his first huge job promo). People flocked to EPCOT and it wasn't because of the wand. They loved the new RoE, ToN, Millennium Showplace etc.

Journey was a disaster. When Michael rode it the first time, the expletives flew and he wanted to know what they did with ''my money'' ... that one was all on WDI...

And really...All star resort? pop century? Mickey phillar? I think WDW could have done without that garbage. All-Star and pop century and all those low cost motels Disney built up in the 00s is what helped cause Disney to become a less sophisticated product and attracted much of the honey boo boo crowd. Yet now all of a sudden you praise those projects as a big thing.

Those resorts were green lit when Frank Wells was alive and well and he and Michael thought they were a great way to get the lower end of the market onto WDW property. I don't particularly find them attractive, but they have some charms and they were priced fairly back in MDE's days. ... The Honey Boo Boo crowd is just as likely to be at the Grand Flo today as at the . Much of that again has to do with how the resort is run. The CMs at the GF should be the best and most experienced yet they are interchangable with the crew at say the CBR or Pop because that is how Disney works. Too late for this crap.

 

[StageFrenzy]

Much of that again has to do with how the resort is run. The CMs at the GF should be the best and most experienced yet they are interchangable with the crew at say the CBR or Pop because that is how Disney works. Too late for this crap.

Well new CM's should be trained at GF moved to and then promoted back up towards GF as their inclination shows.

 

[Cesar R M]

If people can ever get over the thought that they know everything there is to know about everything, they might ask themselves... How do we know that MM+ was or is a dud. We only see a couple of minor uses for the system. That being FP+ and quick use in purchases, etc. We fail to recognize that Disney (overall) was in dire need to upgrade their electronic infrastructure and try to get in line with current technology. The purpose and the possibility has only been looked at on the level that we personally experience it using the forever scientific questioning of "What's in it for me?"

It doesn't seem to have affected the bottom line and the stock market has reacted, apparently, with favor on it. (or at least not negatively). Just because we don't see the value doesn't mean it doesn't exist. Someone said that part of the problem is no one reacts favorably to change, especially one that they don't understand or fit that "what's in it for me" mold. Stop beating a dead horse. It's in place, it isn't going away and, good or bad, it is what we have and will continue to have for a few years. Someone else mentioned that no one wants to have to make dining reservations 180 days out, like this is a result of MM+. In reality it has been that way for quite a few years now. It isn't even part of the argument anymore. In my mind it's easier to chose FP times that far out, then know what you are going to feel like eating 6 months in advance.

Speaking of New Gen..
I wonder how other cruise companies will react once the new Quantum class pair of ships from Royal Caribbean (and their real next gen project) are finally unveiled.

 

[Cesar R M]

more proof that greed trumps traditions

When it only required some greedy people from replacing the people who believed in traditions.

 

[Cesar R M]

I know what WDW got in his last ten years but look at the quality. EE, Test Track, and Mission Aborted are all poor underfunded attractions. Yea sure EE looks beautiful on the outside but where are the show scenes??? It's literally just track running through an empty building in darkness compare that to something like Radiator Springs which is beautiful on the outside, thrilling, AND has actual show scenes in the inside.

I was there for the Millennium Celebration and other than the nice firework show I felt it was handled poorly. I should have known that day when I rode the "new" Journey into imagination what a horrifyingly disappointing decade I was in for.

And really...All star resort? pop century? Mickey phillar? I think WDW could have done without that garbage. All-Star and pop century and all those low cost motels Disney built up in the 00s is what helped cause Disney to become a less sophisticated product and attracted much of the honey boo boo crowd. Yet now all of a sudden you praise those projects as a big thing.

Yikes neo, you sound like Eisner somehow murdered your dog or something.
Whats with the insane hate towards him?

 

[Captain Neo]

Yikes neo, you sound like Eisner somehow murdered your dog or something.
Whats with the insane hate towards him?

Ive had a rough decade and the one thing that should have always been a bright light of happiness (the disney parks) was ruined thanks to Eisner's policies and the people he groomed to run the place following those policies.

 

[LudwigVonDrake]

What ever happened to "spirited change"? Just curious because it doesn't seem to be happening.

 

[SirLink]

What ever happened to "spirited change"? Just curious because it doesn't seem to be happening.

It got "value engineered" when the Board went insane.

 

[ParentsOf4]

You're right, I do agree. Not much more that I can say.

I'll just repeat that WDW and TWDC have never been more profitable than they are right now, yet WDW is run in a manner consistent with companies that give off that ''going out of business'' vibe that I got when I stepped into a Dillard's department store for the first time in years a few weeks ago.

I don't know where all the money is going. But I **** well know where all the money isn't going.

On this thread, we've discussed Disney's stock buybacks, market cap, gross margin, and revenue. I guess it's time to add operating income to the discussion.

Assuming growth during the first 9 months continues into the last quarter, operating income should be over $13B, up an impressive $7B since Iger's first year.

Of course, market cap is up over $100B, perhaps a bit of an overreaction.

Not that the market has ever been known to overreact.

In the first 9 months of the current fiscal year, Disney has spent $5.1B repurchasing its own stock, with announced plans to repurchase a total of $6B to $8B for the year.

To answer your implied question, "where [is] all the money going?", I think we know exactly where all that extra money being generated under Iger is going.